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From what I understand, the ideal Japanese type calls for legs so short, the chicken almost looks like it has no legs. This is achieved with the help of the creeper gene. Yes, the creeper gene is a lethal gene.
Lethal genes are only lethal when the chick inherits the gene from both parents. Remember, there are two genes controlling this trait, one from each parent. A bird with short legs will have one copy of the creeper gene, and one normal gene. It will pass the creeper gene on to roughly half of its offspring, the other half will get the normal gene. Breed two short-legged birds together, and roughly half of their offspring will have short legs (they get the creeper gene from one parent, the normal gene from the other). About 1/4 of their chicks will get the normal gene from both parents, and have the longer legs. And about 1/4 of the offspring will get the creeper gene from both parents, and will die at the time of hatching.
Bear in mind that these ratios are based on the idea that you have scads of offspring from this cross. In a sample group as small as, say, one clutch of 8 eggs, you could have all long-legged birds, all short-legged birds, even a whole clutch that dies at hatching, or any possible combination of the three; and all would be considered normal results.
Because the Japanese bantam is one of the foundation breeds of the Serama, the creeper gene is in the Serama gene pool. The hope is that by breeding for a bird that has longer, more proportionate legs, the creeper gene will be weeded out, and at least that will no longer be a reason for lower hatch rates in Seramas.